Blogs

The new assessee engaged in manufacture of jewellery may find it difficult to cope with vast compliance requirements under Central Excise law as excise levy has been reintroduced suddenly and unexpectedly in budget 2016. There is hardly any time for the assessee to comply with legal requirements. Therefore, it would be essential for the assessee to engage a professional for assistance who can not only assist in compliance but could be helpful in adding value which could be in form...

SUPREME COURT

1. Word “include” in the definition of Inputs under Section 2(g) of CCR, 2002 gives a wide interpretation (RamalaSahkariChini Mills Ltd, UP Vs CCE 2016-TIOL20-SC-CX-LB)
   • Background: Assessee is availing Cenvat credit on welding electrodes used in maintenance of machine. Department disallowed the credit on ground that welding electrodes do not fall under the definition of input.Assessee contended that it is covered under inclusive part of definition and hence...

In this note a brief explanation has been provided w.r.t to payment of service tax on TDS portion in respect of import of services to make it clear for the assessee to understand liability of service tax on TDS portion in case of import of services.     

In case of few specified services, service receiver has been made liable for payment of service tax as per Section 68(2) of Finance Act 1994 read with Rule 2(1)(d)(G) of Service Tax Rules 1994. As per Rule 2(1)(d)(G), ...

The very reason beyond introducing rule 6 in Cenvat Credit Rules 2004 could be that, not to extend the benefit of Cenvat credit to a manufacturer or service provider who is engaging in manufacture or providing of exclusively exempted goods or services as the case maybe.  

However, here a situation could be that, an assessee is adopted practice of not availing credit of input/input service which are used for manufacture or providing of exempted goods/services. In such cases, what...

Introduction   

CBEC with an intention to appropriately administer the tax collection has introduced Annual Information Return (AIR) under Central Excise and Service tax provisions. Presently the system of AIR is being used extensively under Income tax and now the same being extended under indirect tax regime as well.    

Vide notification no.04/2016 dated 15.02.2016, CBEC has introduced Service Tax and Central Excise (Furnishing of Annual Information Return) Rules,...